How Is A Sub 2 Deal No Risk To You?
If I read one of John Lockes articles correct it mentions that you the buyer assumer a motivated sellers mortgage but it stays in their name. I don't fully understand how this works, but if it does how is this no risk to you if you actually hold the title to the property? Maybe I"m way off but could someone please help me understand the process better?
jbolls,
Glad to meet you.
I think this article will help you.
http://www.thecreativeinvestor.com/modules.php?name=News&file=article&sid=146
John $Cash$ Locke
Jbolls,
Was the article I posted the link to the one you have read?
Trying to see where the risk question is generated from in your mind.
John $Cash$ Locke
Yes it was actually the one I had read through. I guess a better question to ask now is what are the risks involved in finding a buyer to take over those payments?
It's clear you wouldn't want to hurt the people you did the deal with. Also what is a decent amount to start with in your LSC to make sure payments are made? I have a little money right now but I'm still a student in school 21 years of age. I want to get started early. I have set goals to be a millionaire by 30 and retired by 35. Thanks for your quick help.
jlbolls.
I should relate a story about one of my students who recently completed his first Subject To deal.
He applied what he was taught and did his first deal, he asked for $20K down from a buyer and got it.
I believe the reason he did is because he did not know he couldn't. Just that simple, nothing fancy here, he was taught that just because a person cannot qualify conventionally to purchase a home does not mean he is a bad person or does not have money.
If you look at Shawn's (LoanWizard) post he had nothing growing up, I am speaking of money here, but he climbed out of the 8 to 5 sydrome and became successful with his car lot and also purchasing properties, Shawn or his family did not have money so I am sure Shawn will tell you he had the desire to become successful and did probably because he didn't know he couldn't.
It takes a desire to become successful, albeit in real estate investing or any endevour you take on in life. You can wake up one day and it is time for your social security checks to start coming in because that is all you have to keep you alive after many years of working for someone else.
You look back at your life and think if only I would have taken a few risks what would have happened would I have become a millionaire like I wanted to be when I was 21 years old?
You are young now and it is hard to conceive that you will ever get old, but we all do. How we forge our lives to gain what we want to happen at any age can happen, look at the Col. Sanders story what a risk he must have taken with Kentucy Fried Chicken.
How do I know I can sell a property once I have purchased it Subject To, because I do not know I can't. This means I will turn down a property if it does not measure up, I first learned to say no, before I started saying yes to sellers.
I think your real question is are you prepared to take a risk your self, no matter what method of creative real estate investing you do because there is always the risk vs reward in our wonderful world of investing.
I personally only teach what I know works, because I have done it and still do it.
John $Cash$ Locke
Jbolls,
I'm one of many John Locke's students who have taken a step by investing in his training course on sub to..i encourage you to invest in your future since he anwers questions and even sends you a cd to help you in your deals.be quipped with the latest information which will give you the keys to success........just my two cents
best of luck
John thanks so much for the encouragement story. I'm ready to take a risk if it will pay off in the end. Without risk or mistakes their would never be rewards.
Which kit do I need to order?
Can anyone give me advice on the $200 dollar kit from Locke? I don't have the money to put into the 1600 I believe it is, any advice would be great.
Thanks in advance.....
jllbolls,
I am not aware of any $1600 course of John's, but I would probably buy it!
I bought the full course (it's less than $700). The manual for $149 is great for most people, but for someone who knew nothing about REI, the full course meal was right for me.
John--please don't bill me for the extra $900 until after I post my first deal
Kyle
Jlbolls,
I started RE investing almost 5 yrs ago in North Nashville. I bought John Locke's course about a year ago, and the results have been great!! Take the chance, and go for it. No risk, no reward. If you need any help or contacts in Nashville, let me know....
Prosperous investing,
td
Wow Thanks for the great replies. TD I'll definately be in touch with you about some advice in the Nashville area. Thanks in advance for all the help.